Researchers in academia and from equivalent positions at non-profit research institutions may submit executive summaries and proposals to almost two dozen new technical topics recently released in DARPA’s latest Young Faculty Award (YFA) research announcement. This announcement includes an additional open topic covering six thrust areas specific to DARPA’s Defense Sciences Office (DSO).

For eligibility information, full listing and description of topic areas, submission process details, and deadlines for executive summaries and proposals, visit the 2024 YFA Research Announcement at:

• SAM.gov: https://sam.gov/opp/f2bf469a50e7433fa758f0125831754b/view 
• Grants.gov: https://www.grants.gov/search-results-detail/350899

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NIST SP 800-171 Rev. 3
Protecting Controlled Unclassified Information in Nonfederal Systems and Organizations - Open Comments

In response to the 1600+ comments received on the initial public draft and its supporting resources, NIST continued to refine the security requirements to:

1. Reduce the number of organization-defined parameters (ODP)
2. Reevaluate the tailoring categories and tailoring decisions
3. Restructure and streamline the discussion sections

Governor Secured $11 Million Investment in FY 2023 Budget to Enhance MWBE Certification Efficiency and Reduce Certification Wait Times

Governor Also Announces Nation-Leading MWBE Utilization in New York State Contracting for Third Year in a Row

Governor Kathy Hochul celebrated the elimination of New York’s yearslong certification backlog for minority- and women-owned business enterprises following a transformative $11 million investment in FY 2023. This means that Empire State Development’s Division of Minority- and Women-Owned Business Development will be operating without a backlog of certification application for the first time in decades.

Governor Hochul also announced that New York State has exceeded its goal for MWBE utilization on NYS contracts with a utilization rate of 32.30 percent during the 2023 Fiscal Year, the highest MWBE utilization rate in the country for the third year in a row. Nearly $3 billion in State contracts were awarded to MWBE firms during the 2023 Fiscal Year, and nearly $29 billion in State contracts have been awarded to MWBEs since 2011. The latest data is available here in the 2023 MWBE Report.

Read the Release Here

Researchers at University of Rochester are developing photonic chips that could replace the gyroscopes currently used in unmanned aerial vehicles or drones, enabling them to fly where GPS signals are jammed or unavailable. Using a quantum technique called weak value amplification, the scientists aim to provide the same sensitivity level of bulk optical gyroscopes on small, handheld photonic chips, potentially transforming navigation for drones.

Read More Here

Tri-State APEX Accelerator MEGA Matchmaker
Date: December 5 – 6 
Time: 9:00 am – 4:00 pm
Click here to register

AFVentures Weekly Webinar Series
Date: Thursday, December 7 & 14 
Time: 12 p.m. EST
Click here to register

These events are open to small Businesses and government. Attend this weekly webinar hosted every Thursday at 12pm EST to learn about AFVentures Topics and Q&A about our program!

Department of the Air Force Chief Information Security Officer (CISO) Every-Tuesday, SBIR/STTR and Small Business Cybersecurity Ask-Me-Anything

Multiple Dates: Tuesday, December 5, 13, & 26 
Click here to register

SBA Office of Inspector General Sounds Alarm on Self-Certified SDBs

As the government’s goal for awarding contracts to Small Disadvantaged Businesses increases to 13% in the current fiscal year, the SBA’s Office of Inspector General has raised questions about whether the government is correctly claiming credit for self-certified SDBs. The SBA’s OIG calls SDB self-certification “inherently risky” and suggests that some firms certifying as SDB in SAM may not meet the eligibility criteria. Read more about the SBA OIG's concerns here.

Your SAM certifications are very important, but you don’t have to go through the SAM registration or re-registration process alone! Your APEX Accelerator can help you determine whether you qualify to self-certify as an SDB and how to best complete other certifications in your SAM profile. Contact your APEX Accelerator counselor to arrange an appointment.

What is “Unbalanced Pricing” in Federal Contracting?

Imagine that the federal government issues a solicitation seeking certain services for a one-year base period and up to four option years, for a total of five years. The solicitation states that pricing will be evaluated on a firm, fixed, lump sum basis across all five years.

Two offerors submit proposals. The first, Offeror A, proposes a price of $2 million in the base year and $2 million in each option year, for a total of $10 million. The second, Offeror B, proposes a price of $7 million in the first year and $500,000 in each option year, for a total of $9 million. Which offeror presents the best value to the government?

At first blush, the answer is simple: Offeror B, whose total proposed price is $1 million lower. However, Offeror B has “frontloaded” their pricing, proposing an overstated rate for the base year and understated rates for the option years. Options, of course, are optional – the government need not award option years. Should the government overpay Offeror B in Year 1 to obtain the possibility of underpaying in Years 2 through 5?

The Federal Acquisition Regulation has a name for pricing proposed by Offeror B: “unbalanced.” FAR 15.404-1(g) says that unbalanced pricing “exists when, despite an acceptable total evaluated price, the price of one or more line items is significantly over or understated.” 

When an offeror’s pricing is unbalanced, the government is not required to reject the offeror’s proposal but must consider “the risks to the Government associated with the unbalanced pricing” and “whether award of the contract will result in paying unreasonably high prices for contract performance.” If the government believes that the unbalanced pricing is too risky, the government may reject the proposal. 

In our hypothetical example, the agency might accept Offeror B’s unbalanced offer in hopes of obtaining a lower total price, or it might reject the offer because the agency is essentially guaranteed to overpay in the first year while the cost savings in the option years might never materialize. In other words, Offeror B’s pricing strategy does not automatically render its proposal unacceptable; however, Offeror B runs the risk that the government will decide that its unbalanced pricing does not represent the best value to the government.

It’s important to note that while frontloaded pricing like that proposed by Offeror B is a common circumstance in which offerors may propose unbalanced pricing, unbalanced pricing can also occur in other situations. In fact, FAR 15.404-1(g) instructs agencies to analyze “all offers with separately priced line items or subline items” for the potential of unbalanced pricing.

As a contractor, it can be tempting to submit an offer like that proposed by Offeror B. After all, why not take the “sure thing” of an overpayment in the base year and worry about the option years later? But while unbalanced pricing can be a viable strategy in the right circumstances, offerors must tread carefully because the FAR directs agencies to identify unbalanced pricing and assess the risks of accepting a materially unbalanced proposal.

This section highlights items of special interest and importance to the Department of Defense Office of Small Business Programs (DoD OSBP). Please take a moment to visit the sites listed below for additional information. We also suggest that you read the latest edition of the DoD’s Small Business Digest if you want to do business with the DoD.

Cybersecurity Maturity Model Certification (CMMC)/Cybersecurity Compliance Resources
DoD CMMC Resource Page – Resources to assist government contractors with understanding and complying with CMMC/cybersecurity requirements.
Project Spectrum – Project Spectrum is working with APEX Accelerators to assist small businesses in achieving compliance with CMMC/cybersecurity requirements. 

Foreign Ownership, Control, and Influence (FOCI) Resources
FOCI Frequently Asked Questions – FOCI is a status or situation in which a contractor with access to classified information has some foreign investment or association with foreign interest. Learn more about the federal government’s requirements relating to FOCI. 
https://business.defense.gov/ – The official website of DoD OSBP. It contains additional information, news, events, and other items for those interested in doing business (or currently engaged) with the DoD.